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Offer the guy $9500 and put the $2000 you have saved in an envelope. Label it 'Td5 Just in case' and see how you go! Td5 engines are appearing now second hand for half way sensible money. If he or u are mechanically minded, go for it! You'd think that at $300000+ kms any of the 'Three Amigos' electrical faults or any others would have been well tested! Looks clean and straight too....
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I have a 2001 D2 V8 with only 86k on the clock. Im the second owner and it's fairly immaculate (photos on here).
That said age can be seen on some seal and I have had a water pump and valley gasket done.Top hose etc. Age will be just as much as a factor for parts reaching their sell by date!
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Not surprisingly its sold, did you end up grabbing it?